AN ACT RELATING TO TOWNS AND CITIES -- ZONING ORDINANCES

This bill updates Rhode Island's inclusionary zoning law to require that developments with ten or more units include at least 15% affordable housing, which must remain affordable for 30 years. It allows municipalities to offer density bonuses, such as adding two market-rate units for every affordable unit, or to accept alternative methods like off-site construction, land donations, or fee payments instead of on-site affordable units. However, projects that choose to pay fees rather than build affordable housing directly are not eligible for these density bonuses. The law also sets a minimum fee amount for fee-in-lieu options and mandates that collected funds be used exclusively to create new affordable housing within the community.